Emerging markets

From ArticleWorld

Emerging markets is the term used to describe markets and economies that earlier might have been classed on the developed end of the developing country spectrum. Often they are places where markets have in the since the 1980s or so started to behave in unexpected ways, allowing for new opportunities for entrepreneurs, investors, consumers, and the workforce.

Identifying emerging markets

Emerging markets are characterized by innovative business practices and non-traditional acceptance and use of new technologies. Consumer power generally grows fast, and while already industrialized to a considerable extent, emerging markets start to participate in the world economy in more complex ways than the older role of supplier of raw or finished products to developed countries.

The global picture

Emerging markets such as China, India, Brazil, South Africa, and Malaysia are a key strategic part of institutional investor strategy in the developed world. Newer emerging markets include such Central and Eastern European countries as Slovenia and the Czech Republic, and former Soviet states like Ukraine and Uzbekistan.

Studying emerging markets

Much writing on emerging markets is in the management genre, by people like C.K. Prahalad and Harvard Business School professors, though a number of anthropologists and sociologists including Hernando de Soto and Arturo Escobar are also exploring the implications and consequences of these changes. Interestingly, there is not much literature and only a few hypotheses on how markets actually 'emerge'.